In sensitive sectors such as food, pharmaceuticals and cosmetics, a contamination incident - whether accidental, allergenic, bacterial or deliberate in origin - can jeopardize an entire production chain. Between the obligation to withdraw products from the market, operating losses, pressure from the authorities and the impact on reputation, the consequences are often much heavier than a simple isolated incident.

At Avesta Insurancewe support our customers in the implementation of specific insurance solutions to cope with these major risks.

When a simple alert becomes a crisis

The number of product recalls is rising steadily, due to :

• increasingly complex supply chains,
• enhanced traceability,
• increased regulatory and societal demands,
• and growing consumer awareness.

A labelling error, a contaminant of unknown origin, a defect in the cleaning of a production line... and an entire batch has to be withdrawn, often in a hurry.

For an agri-food company, for example, a poorly covered product recall can lead to significant operating losses that would otherwise go uncompensated without specialist insurance.

Dedicated insurance for poorly covered risks

Contrary to popular belief, neither fire insurance nor traditional product liability insurance adequately covers the consequences of contamination or product recall.
That's why we work with our customers, specialized coverages that can include :

• Visit withdrawal fee (transport, storage, destruction) ;
• Visit replacement of defective products or contaminated ;
• Visit loss of gross margin or sales due to temporary stoppage of production ;
• Visit crisis management costs (communication, expertise, legal support) ;
• Visit brand image protection and commercial relations.

Our approach at Avesta Insurance

At Avesta Insurance, we offer specific coverage against contamination and product recall risks for companies in the food, pharmaceutical and cosmetics industries.

We believe that good coverage starts with a good understanding of risk. That's why we support our customers every step of the way:

In-depth analysis of your exposure

We audit your processes, logistics flows and product specifications to identify critical points.

Selecting a customized solution

We structure appropriate coverage with specialized companies, ensuring clarity of guarantees, deductibles and intervention ceilings.

Personalized support over times

As your business evolves, so do your risks. We keep a constant watch on your business, and work closely with you to adapt your protection to your new challenges.

Our goal: to offer you reliable, easy-to-read insurance that can be directly activated in the event of an incident.

In a nutshell

A contamination incident or product recall can have serious consequences for your business. But with the right insurance, it becomes a controlled event rather than a crisis.

With Avesta Insuranceyou benefit from specialist partnerWe're here to help you turn uncertainty into security.

Let's talk about it!
🌐 www.avesta.be
✉️ info@avesta.be

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of your business

FAQ - Contamination insurance & product recall

🔹 What is product contamination and recall insurance?

This specific coverage protects your company against the financial consequences of a contamination incident, a manufacturing defect or an imposed recall (by the authorities or as a preventive measure).

🔹 Who is concerned?

This insurance is aimed at any company involved in the production or distribution of sensitive consumer goods, particularly in the following sectors:

• Agri-food
• Pharmaceuticals
• Cosmetics
• Food supplements
• Packaging or wrapping

🔹 What does this insurance cover?

It can include :

• Visit withdrawal fee (transport, destruction, storage)
• Visit replacement of defective products
• Visit operating losses
• Visit expert or analysis fees
• Visit costs related to protecting your brand image

🔹 Does my corporate liability cover these risks?

No. Traditional civil liability covers damage caused to third parties, but does not cover in-house expensesnor the economic consequences of a quality recall or crisis.

🔹 How much does it cost?

The cost varies according to :

• The business sector
• The size of your company
• Your prevention and traceability procedures
• Desired level of coverage

Our teams will work with you to build a tailor-made solution in line with your risks.

🔹 What are the most common risks?

• Bacterial contamination (Listeria, Salmonella, E. coli, etc.)
• Presence of undeclared allergens
• Labeling or packaging errors
• Foreign bodies (plastic, glass...)
• Non-compliance with regulations (AFSCA, FDA...)

🔹 What to do in the event of a recall?

In the event of an incident :

1. The company activates its insurance through its broker or insurer
2. Withdrawal measures are implemented
3. The insurer covers the costs and losses provided for in the contract.

Avesta provides complete follow-upfrom the first signal to the final settlement.

💬 Would you like to know whether your business is well protected?
Contact our teams for a free risk audit and a customized proposal.